What’s up with FTX cryptocurrency exchange?
Nothing sends shivers down the spine if not completely shakes crypto investors and traders like a complete shutdown of an exchange. So today, FTX cryptocurrency exchange which ranked among the popular dealers is gasping for breath as it filed for bankruptcy before Binance deployed $1 billion to salvage it.
Curious to know more about FTX?, check the important details here
Notwithstanding why FTX is on a roller coaster, we can pick lessons
A lot of reasons have been listed to have led the company to an eclipse but those that stand out include; dysfunction and mismanagement. Whatever reasons that could have led this once darling of many to the near precipice, it could be a pointer that investors need to be very careful and cautious about putting all their fortunes in crypto.
As we have stated times unnumbered, cryptocurrency isn’t really for quick riches. Yes, some people luckily and with much effort make it big in crypto yet so many too lose big time. They say winners never quit and quitters never win but this may not always hold in crypto. There may be promises and assurances that customers will be paid off in the event that FTX closes shop summarily but then who wants to put up with the ulcers that may come with a downward spiral of what would have been otherwise a sure ladder to riches? Not you, not me.
Just last month, FTX exchange was healthy but not anymore
A review of FTX just last month showed that it was still among the best but now it has to take Binance to pump in billions to save it. How fast can it be to lose fortunes in crypto? I mean people can lose investments in any venture but then if it happens this fast then it literally shakes the hell out of an investor. So the lesson for crypto investing remains one that any investor will have to master; invest only that which you can be ready to lose. Losing does not necessarily mean you will not get your investment back. In reality, pay-out to customers after an exchange falls may delay. In addition, customer future plans on investment growth would shutter plus everything else in between.
Maybe, a budding crypto investor may benefit from the wisdom of the Legendary Cryptocurrency Investors of our Time. If you take in some practical lessons from the realities of crypto, you may just be a little safer from possibly another case like FTX cryptocurrency in future.